Known as the largest gold producer in the world, South Africa can boost the region's economy with a new discovery of helium gas
A new treasure has been discovered in South Africa! The country that was once known as the largest gold producer in the world, now has a new 'gold', but in gas: the Helium. Popularly known for inflating party balloons and providing funny voices, helium gas plays a crucial role in several modern technologies, such as medical scanners, superconductors and space exploration. This rare gas is produced by less than 10 countries and is often discarded as waste in natural gas wells, according to the website De Olho na Engenharia.
The discovery occurred when Stefano Marani and Nick Mitchell acquired, in 2012, the rights to an 87.000 hectare plot of land in the Free State province, initially seeking natural gas. However, when analyzing the samples, they found exceptionally high concentrations of helium, transforming the initial investment of US$1 into a potential gold mine, or rather, helium!
High concentrations and economic opportunities in South Africa
Analyzes revealed helium concentrations between two and four percent, One amount significantly higher than global standards, as in the United States, where helium is extracted in concentrations starting at 0,3%. Subsequent tests indicated even higher levels, reaching up to 12%, placing South Africa among the largest potential producers in the world, next to Qatar and Algeria.
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According to the company Research and Markets, the global helium market was valued at US$10,6 billion in 2019, and the demand for this gas only grows, driven by its application in critical technologies and its scarcity. Renergen, a company owned by Marani and Mitchell, estimates that its reserves could reach 9,74 billion cubic meters, a quantity that, if proven, would represent a worth more than US$100 billion.
Sustainable extraction of helium gas
Unlike the traditional method of hydraulic fracturing, which involves injecting water and chemicals to release trapped gas, Renergen benefits from a unique geological formation. The presence of a large natural fracture allows the extraction of gas without the need for invasive techniques, which minimizes the environmental impact and associated risks, such as contamination of groundwater and small earthquakes.
Future prospects for South Africa
Renergen plans to establish 19 wells by next year, with the gas currently extracted being used as compressed natural gas in a pilot project for bus operation. The processing plant is expected to produce liquefied natural gas for domestic consumption and liquid helium for export. The helium liquefaction process involves cooling it to extremely low temperatures, close to absolute zero, which makes it essential for applications that require intense cooling, such as in MRIs and rocket engines.
Demand for helium has more than doubled in the last three decades, and its production in South Africa may eventually reach five tons daily, representing around 7% of current world production. This development places the country in a strategic position to meet the growing global need for this vital resource, which is essential for technological and industrial innovations.